Reporting on the benefits of home improvements, the building society found that a 10% increase in floor space can add about 5% to the price of a typical house.
Adding a space equivalent to the size of a typical double bedroom can add around 11% to the value of a two-bedroom house, while the inclusion of a second bathroom can add another 5% to the price tag of an average house.
Andrew Harvey, Senior Economic Analyst at Nationwide’s Economic and Market analysis team stated: “In many cases the biggest gains can be generated through adding a loft conversion or extension incorporating a double bedroom and a bathroom.
“This can add more than a fifth (20%) to the value of a three-bedroom, one bathroom house.”
Nationwide also found that a home can be made more appealing to buyers if the energy efficiency rating is improved, with the proportion of owner-occupied property rated A-D surging from 20% to 71% since 1996.
The increased use of insulation measures, such as double glazing and cavity wall insulation, have also improved energy efficiency, with the proportion of dwellings with double glazing increasing from 30% to 81% in the same period.
“Ultimately of course, the decision to invest in the home is an individual one, taking into account the costs and hassle involved, as well as potential benefits,” Andrew added.
“We would encourage all homeowners to think about their needs and requirements, as well as their financial circumstances, before leaping to any decision.
Leave a comment